Robert Half International Inc (RHI)
Receivables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,795,840 | 6,416,490 | 7,246,150 | 6,461,640 | 5,110,340 |
| Receivables | US$ in thousands | 772,285 | 860,872 | 1,018,290 | 984,691 | 714,163 |
| Receivables turnover | 7.50 | 7.45 | 7.12 | 6.56 | 7.16 |
December 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $5,795,840K ÷ $772,285K
= 7.50
Robert Half International Inc's receivables turnover ratio has demonstrated a consistent trend over the past five years. The ratio decreased from 7.16 in December 2020 to 6.56 in December 2021, indicating a longer period for the company to collect its accounts receivable during that year. However, there was a subsequent improvement as the ratio increased to 7.12 in December 2022, and further to 7.45 in December 2023, showing that the company was able to collect its receivables more efficiently in those years.
Moreover, the receivables turnover ratio continued to strengthen, reaching 7.50 in December 2024. This signifies that Robert Half International Inc was able to convert its accounts receivable into cash at a faster pace in the most recent year, reflecting stronger credit management or collection efforts.
Overall, the upward trend in the receivables turnover ratio indicates that the company has been effectively managing its accounts receivable, potentially minimizing the risk of bad debts and optimizing its cash flow cycle.
Peer comparison
Dec 31, 2024